IGI Logo

Below is Commodity Quote on Base Metals Mr. Saish Sandeep Sawant Dessai, Research Associate- Base Metals, Angel One Ltd

The continued strength of the base metals pack obscures the prolonged downturn caused by the dollar index and the expectation of rate increases by central banks worldwide

On Friday, metal prices are witnessing an uptick as a result of China's manufacturing activity unexpectedly increasing in September, returning to growth after two months of decline. According to data from the National Bureau of Statistics, the official manufacturing Purchasing Managers' Index (PMI) increased to 50.1 from 49.4 in August. Contraction and growth are separated by a 50-point threshold.

The benchmark metals index LME announced on Thursday that it would release a discussion paper, marking the first step toward a potential restriction on new metal supplies from Russia. Post which the Aluminium prices saw a significant boost. The price of base metals continued to rise on Friday, with Aluminium up more than 3% and Copper and Zinc up more than 1% each.

Last but not least, recent developments from China, a major consumer of metals, supported the metal prices to rise from months-low levels, as the nation's commercial hub, Shanghai unveiled new stimulus measures to support the economy's sluggish development that had been severely hit by COVID-19 lockdowns earlier this year.

Please refer disclaimer at https://www.angelone.in/ 
SEBI Regn. No.: INZ000161534

Above views are of the author and not of the website kindly read disclaimer